Chapter 15

Management: Arab World Edition Robbins, Coulter, Sidani, Jamali
Chapter 15: Motivating Employees
Lecturer: [Insert your name here]
Learning Outcomes
Follow this Learning Outline as you read and study this chapter.
15.1 What Is Motivation?
Define motivation. Explain the three key elements of motivation.

15.2 Early Theories of Motivation
Describe Maslows hierarchy of needs and how it can be

used to motivate.
Discuss how Theory X and Theory Y managers approach

motivation.
Describe Herzbergs motivationhygiene theory. Describe the three-needs theory.

15-3 Copyright 2011 Pearson Education
Learning Outcomes
15.3 Contemporary Theories of Motivation
Explain how goal-setting and reinforcement theories explain

employee motivation.
Describe job design approaches to motivation. Discuss the motivation implications of equity theory. Explain the three key linkages in expectancy theory and
their role in motivation.
15-4
Copyright 2011 Pearson Education
Learning Outcomes
15.4 Current Issues in Motivation
Describe the cross-cultural challenges of motivation. Discuss the challenges managers face in motivating unique
groups of workers.
Describe open-book management, employee recognition, payfor-performance, and stock option programs.
15-5
What Is Motivation?
1. Define motivation. 2. Explain the three key elements of motivation.
15-6
What Is Motivation?
Motivation
Is the result of an interaction between the person and a situation; it is not a personal trait. Is the process by which a persons efforts are energized, directed, and sustained towards attaining a goal.
15-7
What Is Motivation? (contd)

Energy: a measure of intensity or drive Direction: toward organizational goals Persistence: exerting effort to achieve goals
Motivation works best when individual needs are compatible with organizational goals.
15-8
Exhibit 151 Hewitt Best Employers in the Middle East 2009
15-9
Exhibit 152 Employee Motivation study in the Middle East
15-10
Early Theories of Motivation
1. Maslows Hierarchy of Needs: Describe Maslows hierarchy
of needs and how it can be used to motivate.

2. McGregors Theories X and Y: Discuss how Theory X and
Theory Y managers approach motivation.

3. Herzbergs Two-Factor Theory: Describe Herzbergs
motivationhygiene theory.
4. McClellands Three-Needs Theory: Describe the three-
needs theory.
Maslows Hierarchy of Needs Theory
Needs were categorized as five levels of lower- to higher-order needs.
Individuals must satisfy lower-order needs before they can satisfy higher order needs. Satisfied needs will no longer motivate. Motivating a person depends on knowing at what level that person is on the hierarchy.
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Exhibit 153
Maslows Hierarchy of Needs
15-13
Maslows Hierarchy of Needs Theory (contd)
Hierarchy of needs Lower-order (external):

physiological,
safety
Higher-order (internal):
social,
esteem, self-actualization
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McGregors Theory X and Theory Y
Theory X
Assumes that workers have little ambition, dislike work, avoid responsibility, and require close supervision.
Theory Y
Assumes that workers can exercise self-direction, desire responsibility, and like to work.
15-15
McGregors Theory X and Theory Y (contd)

Assumption:
Motivation is maximized by participative decision making, interesting jobs, and good group relations.
15-16
Herzbergs MotivationHygiene Theory

Job satisfaction and job dissatisfaction are created by different factors.
Hygiene factors: extrinsic (environmental) factors that create job dissatisfaction. Motivators: intrinsic (psychological) factors that create job satisfaction.
15-17
Herzbergs MotivationHygiene Theory (contd)
This attempted to explain why job satisfaction does not result in increased performance.
The
opposite of satisfaction is not dissatisfaction, but rather no satisfaction.
15-18
Exhibit 154 Herzbergs MotivationHygiene Theory
15-19
Three-Needs Theory (McClelland)
There are three major acquired needs that are major motives in work.
Need for achievement (nAch)
The drive to excel and succeed The need to influence the behavior of others The desire for interpersonal relationships
Need for power (nPow)
Need of affiliation (nAff)
15-20
Exhibit 155 Contrasting Views of SatisfactionDissatisfaction
15-21
Exhibit 156 Examples of Pictures Used for Assessing Levels of nAch, nAff, and nPow
15-22
Contemporary Theories of Motivation

1. Explain how goal-setting and reinforcement theories explain employee motivation.
2. Describe job design approaches to motivation.

3. Discuss the motivation implications of equity theory. 4. Explain the three key linkages in expectancy theory and their role in motivation.
15-23
Goal-Setting Theory
Proposes that setting goals that are accepted, specific, and challenging yet achievable will result in higher performance than having no or easy goals. Is culture bound to the U.S. and Canada.
15-24
Goal-Setting Theory (contd)

Benefits of Participation in Goal-Setting

Increases the acceptance of goals. Fosters commitment to difficult, public goals. Provides for self-feedback (internal locus of control) that guides behavior and motivates performance (self-efficacy).
15-25
Exhibit 157
Goal-Setting Theory
15-26
Reinforcement Theory
This assumes that a desired behavior is a function of its consequences, is externally caused, and if reinforced, is likely to be repeated. Positive reinforcement is preferred for its long-term effects on performance. Ignoring undesired behavior is better than punishment which may create additional dysfunctional behaviors.
15-27
Job Design Theory

Job Design
The way into which tasks can be combined to form complete jobs.
Changing organizational environment/structure
Factors influencing job design
The organizations technology

Employees skill, abilities, and preferences
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Job Design Theory (contd)

Job enlargement
Increasing the jobs scope (number and frequency of tasks).

Increasing responsibility and autonomy (depth) in a job.
Job enrichment
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Job Characteristics Model (JCM)
A conceptual framework for designing motivating jobs that create meaningful work experiences that satisfy employees growth needs.
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Five primary job characteristics:
Skill variety: how many skills and talents are needed?

Task identity: does the job produce a complete work? Task significance: how important is the job?
Autonomy: how much independence does the jobholder have?

Feedback: do workers know how well they are doing?
15-31
Exhibit 158
Job Characteristics Model
Source: J.R. Hackman and J.L. Suttle (eds.). Improving Life at Work (Glenview, IL: Scott, Foresman, 1977). With permission of the authors.
15-32

Suggestions for using the JCM
Combine tasks (job enlargement) to create more meaningful work.

Create natural work units to make employees work important and whole. Establish external and internal client relationships to provide feedback. Expand jobs vertically (job enrichment) by giving employees more autonomy. Open feedback channels to let employees know how well they are doing.
15-33
Exhibit 159
Guidelines for Job Redesign
Source: J.R. Hackman and J.L. Suttle (eds.). Improving Life at Work (Glenview, IL: Scott, Foresman, 1977). With permission of the authors. 15-34
Equity Theory
Proposes that:
employees perceive what they get from a job situation (outcome)

in relation to what they put in (input) and then compare their inputsoutcomes ratio with the inputs outcomes ratios of relevant others.
The referent is the other person, system, or self an individual compares himself or herself against in order to assess equity.
15-35
Equity Theory (contd)
If the ratios are perceived as equal then a state of equity (fairness) exists. If the ratios are perceived as unequal, inequity exists and the person feels under- or over-rewarded. When inequities occur, employees will attempt to do something to rebalance the ratios (seek justice).
15-36
Equity Theory Employee Responses to Perceived Inequities
Distort own or others ratios
Induce others to change their own inputs or outcomes

Change own inputs (increase or decrease efforts) or outcomes (seek greater rewards) Choose a different comparison (referent) other (person, systems, or self) Quit their job
Employees are concerned with both the absolute and relative nature of organizational rewards.
15-37

Distributive justice
The perceived fairness of the amount and allocation of rewards among individuals (i.e., who received what).
Influences an employees satisfaction.
15-38

Procedural justice
The
perceived fairness of the process is used to determine the distribution of rewards (i.e., how who received what).
Affects
an employees organizational commitment.
15-39
Exhibit 1510
Equity Theory
15-40
Expectancy Theory
States that an individual tends to act in a certain way, based on the expectation that the act will be followed by a given outcome, and on the attractiveness of that outcome to the individual.
15-41
Expectancy Theory (contd)
Key to the theory is understanding and managing employee goals and the linkages among and between effort, performance and rewards. Effort: employee abilities and training/development Performance: valid appraisal systems Rewards (goals): understanding employee needs
15-42
Exhibit 1511
Simplified Expectancy Model
15-43
Expectancy Theory Expectancy Relationships

Expectancy (effortperformance linkage)
The perceived probability that an individuals effort will result in a certain level of performance. The perception that a particular level of performance will result in attaining a desired outcome (reward). The attractiveness/importance of the performance reward (outcome) to the individual.
Instrumentality
Valence
15-44
Exhibit 1512 Integrating Contemporary Theories of Motivation
15-45
Current Issues in Motivation

1. Describe the cross-cultural challenges of motivation. 2. Discuss the challenges managers face in motivating unique groups of workers. 3. Describe open-book management, employee recognition, pay-for-performance, and stock option programs.
15-46
Cross-Cultural Challenges
Motivational programs are most applicable in cultures where individualism and achievement are cultural characteristics. Uncertainty avoidance of some cultures inverts Maslows needs hierarchy. The need for achievement (nAch) is lacking in other cultures. Collectivist cultures view rewards as entitlements to be distributed based on individual needs, not individual performance.
15-47
Cross-Cultural Challenges (contd)

Cross-Cultural Consistencies
Interesting work is widely desired, as is growth, achievement, and responsibility.
15-48
Motivating Unique Groups of Workers

Motivating Diverse Workforce
Motivating a diverse workforce through flexibility:
Men desire more autonomy than do women.

Women desire learning opportunities, flexible work schedules, and good interpersonal relations.
15-49
Motivating Unique Groups of Workers (contd)

Motivating Diverse Workforce
Compressed workweek
Longer daily hours, but fewer days Flexible work hours (flex-time)
Specific weekly hours with varying arrival, departure, lunch and break times around certain core hours during which all employees must be present
15-50

Job Sharing
Two or more people split a full-time job.

Employees work from home using computer links.
Telecommuting
15-51

Motivating Professionals
Characteristics of professionals
Strong Loyalty
and long-term commitment to their field of expertise is to their profession, not to the employer
Have
Dont
the need to regularly update their knowledge

define their workweek as 8:00 am to 5:00 pm
15-52

Motivators for professionals
Job challenge
Organizational support of their work
15-53

Motivating Contingent Workers
Opportunity to become a permanent employee

Opportunity for training Equity in compensation and benefits
15-54

Motivating Low-Skilled, Minimum-Wage Employees
Employee recognition programs

Provision of sincere praise
15-55
Designing Appropriate Rewards Programs

Open-book management
Involving employees in workplace decision by opening up the financial statements of the employer. Giving personal attention and expressing interest, approval, and appreciation for a job well done.
Employee recognition programs
15-56
Designing Appropriate Rewards Programs (contd)

Pay-for-performance
Variable compensation plans that reward employees on the basis of their performance: Piece rates, wage incentives, profit-sharing, and lump-sum bonuses
15-57
Designing Appropriate Rewards Programs (contd)

Stock option programs
Using financial instruments (in lieu of monetary compensation) that give employees the right to purchase shares of company stock at a set (option) price.
Options have value if the stock price rises above the option price; they become worthless if the stock price falls below the option price.
15-58
From Theory to Practice: Guidelines for Motivating Employees

Be aware of cultural differences Recognize individual differences Match people to jobs Use goals Ensure that goals are perceived as attainable Individualize rewards Link rewards to performance
15-59
From Theory to Practice: Guidelines for Motivating Employees (contd)
Check the system for equity
Use recognition
Show care and concern for employees Dont ignore money
15-60
Terms to Know
motivation hierarchy of needs theory physiological needs safety needs social needs esteem needs self-actualization needs Theory X Theory Y three-needs theory need for achievement (nAch) need for power (nPow) need for affiliation (nAff) goal-setting theory self-efficacy reinforcement theory reinforcers job design
Two Factor theory

hygiene factors motivators
job scope
job enlargement
Terms to Know (contd)

job enrichment job depth job characteristics model (JCM) skill variety task identity procedural justice expectancy theory compressed workweek flexible work hours (flex-time) job sharing telecommuting open-book management employee recognition programs pay-for-performance programs
task significance
autonomy feedback
equity theory
referents distributive justice
stock options
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Management: Arab World Edition Robbins, Coulter, Sidani, Jamali

Chapter 15: Motivating Employees

Lecturer: [Insert your name here]

Define motivation. Explain the three key elements of motivation.

Describe Maslows hierarchy of needs and how it can be

Discuss how Theory X and Theory Y managers approach

Describe Herzbergs motivationhygiene theory. Describe the three-needs theory.

Explain how goal-setting and reinforcement theories explain

Copyright 2011 Pearson Education

Copyright 2011 Pearson Education

Copyright 2011 Pearson Education

Copyright 2011 Pearson Education

What Is Motivation? (contd)

Copyright 2011 Pearson Education

Exhibit 151 Hewitt Best Employers in the Middle East 2009

Copyright 2011 Pearson Education

Exhibit 152 Employee Motivation study in the Middle East

Copyright 2011 Pearson Education

Early Theories of Motivation

1. Maslows Hierarchy of Needs: Describe Maslows hierarchy

of needs and how it can be used to motivate.

Theory Y managers approach motivation.

Maslows Hierarchy of Needs Theory

Needs were categorized as five levels of lower- to higher-order needs.

Copyright 2011 Pearson Education

Maslows Hierarchy of Needs

Copyright 2011 Pearson Education

Maslows Hierarchy of Needs Theory (contd)

Hierarchy of needs Lower-order (external):

Copyright 2011 Pearson Education

McGregors Theory X and Theory Y

Copyright 2011 Pearson Education

McGregors Theory X and Theory Y (contd)

Copyright 2011 Pearson Education

Herzbergs MotivationHygiene Theory

Copyright 2011 Pearson Education

Herzbergs MotivationHygiene Theory (contd)

opposite of satisfaction is not dissatisfaction, but rather no satisfaction.

Copyright 2011 Pearson Education

Exhibit 154 Herzbergs MotivationHygiene Theory

Copyright 2011 Pearson Education

Three-Needs Theory (McClelland)

Need for achievement (nAch)

Need for power (nPow)

Need of affiliation (nAff)

Copyright 2011 Pearson Education

Exhibit 155 Contrasting Views of SatisfactionDissatisfaction

Copyright 2011 Pearson Education

Copyright 2011 Pearson Education

Contemporary Theories of Motivation

2. Describe job design approaches to motivation.

Copyright 2011 Pearson Education

Copyright 2011 Pearson Education

Goal-Setting Theory (contd)

Copyright 2011 Pearson Education

Copyright 2011 Pearson Education

Copyright 2011 Pearson Education

Job Design Theory

Factors influencing job design

The organizations technology

Copyright 2011 Pearson Education

Job Design Theory (contd)

Increasing the jobs scope (number and frequency of tasks).